Salesforce supports On Demand Configuration where as Microsoft Dynamics CRM supports On-Demand, On-Premise and Partner Hosted setups.
Salesforce has a web based access wherein Microsoft Dynamics CRM provides its users both Web Based and Native access through Microsoft Outlook.
Microsoft CRM also provides Off – Line Access with all its versions and editions whereas off line access is limited to Enterprise editions in Salesforce.com
There is no dedicated database in Salesforce.com and there is a storage limit of 1GB or 120MB/User in all versions.
Dynamics CRM has dedicated Databases. Storage varies from 20GB to 5GB depending on installation.
Web Service Support
Web Service Support is only available in Enterprise and Unlimited Versions where as Microsoft Dynamics CRM supports web services in all the versions.
While Salesforce.com had an advantage in previous years due to the inadequacies of previous versions of Dynamics CRM, the newest version of MSCRM has truly set Microsoft appart from the competition. Microsoft CRM is all set to capture mid markets and SMBs. Apart from Dynamics CRM, Dynamics NAV/GP have also set their routes in the Indian Market.
Earlier we could hear about Oracle or SAP when we talked of ERP and Siebel or Salesforce in CRM but market researchers have already predicted the expansion of Dynamics in 2010 and its likely that Microsoft CRM will compete with Siebel and Salesforce soon in the growing markets in coming years.